New Zealand PM-designate confirms review of central bank act

Reuters Staff

1 Min Read

SYDNEY (Reuters) - New Zealand prime minister-designate Jacinda Ardern said on Tuesday her new Labour-led government planned to review and reform the central bank act.

New Zealand Labour leader Jacinda Ardern speaks to the press after leader of New Zealand First party Winston Peters announced his support for her party in Wellington, New Zealand, October 19, 2017. REUTERS/Charlotte Greenfield

Labour has already said it wants to add employment to the Reserve Bank of New Zealand’s mandate, alongside inflation, to give it a dual target. New Zealand First, the junior partner in the coalition government, also wants to broaden the central bank’s focus to include greater management of the local dollar’s value against other currencies.

“We have been looking at changing the objectives set out in the Reserve Bank Act,” Ardern told reporters, adding that both employment and price stability would be part of that review.